Bitcoins Tax And Alternatives To Bitcoin

The investment in bitcoins is not exempt from the tax. In fact, they will have to be taxed on the income statement and on the Wealth Tax - here you can see if you are required to file it.

Bitcoin for rent

If you have bought and sold bitcoins in 2017, you must include them in the 2017 income as a capital gain or loss. The taxation of bitcoins in personal income tax is very similar to that of stocks or what happens when you redeem an investment fund.

For you to understand it better, when making the rent you must include in the capital gains and losses section the result of the operation. To do this you must subtract the purchase price from the sale price. If it is positive, it will be a profit. Otherwise it will be a loss. That figure will be integrated with the rest of capital gains or losses to pay taxes under the savings rates, which for the 2017 Personal Income Tax are the following:

• Earnings less than 6,000 euros - 19%
• Earnings between 6,000.01 euros and 50,000 euros –  21%
• Earnings over 50,000 euros - 23%
• In this article you can see the income boxes in which to include the bitcoins .

Bitcoins in Wealth Tax

As long as you have the bitcoins in your Bitcoin Wallet, you will not have to pay for them in income, but in the Wealth Tax. As with shares, investment funds and other savings, the money you have will be added for the purposes of calculating this tax and determining whether or not you are subject to file it.

Buy physical bitcoin

Can you buy a real bitcoin coin? As paradoxical as it may seem, there are many people interested in taking physical bitcoin and as always when there is demand, supply ends up appearing.

There are basically two ways to get a real bitcoin. The first is to buy a collector's bitcoin coin. In the market you can find a multitude of replicas and interpretations of the crypto trade engine, none of them official. At this point it is more of a world of collectors than of investments in cryptocurrency. If you want to see some examples of physical bitcoin coins here you can do it on ebay .

The second formula is to buy a physical coin-shaped bitcoin wallet. These purses usually include, in addition, some amount of bitcoins. This is the case of Cascaius (its coins no longer include bitcoins, although the physical support can be purchased equally) or Kialara, which also provides the added value of its design.

In this same line, Satori includes a QR code that will transfer the number of bitcoins that the coin contains to your virtual wallet.

Alternatives to Bitcoin: ethereum and other cryptocurrencies

Bitcoins are not the only cryptocurrency on the market, although they are the most important. There are other virtual currencies that compete with it, each with its own philosophy as a currency. As an example, if the bitcoin figure is finite (21 million ), in ethereum there is no announced limit.

The aforementioned ehthereum is today one of the great alternatives to bitcoin, especially for miners, but not the only one of the so-called Altcoins. These coins arise thanks to the fact that the bitcoin code is open.

How to buy altcoins

Altcoins can be bought in the same way as bitcoin, through brokers and so-called exchangers. Platforms like Coinbases, BitPanda and the like will allow you to get hold of these alternative cryptocurrencies to bitcoin.

However, the most common thing is to buy bitcoins and then transform them into one of the alternative cryptocurrencies. In this sense, Bitcoin acts as a gateway to the entire virtual currency market and serves as a backup for transactions.

Currently there are more than 300 virtual currencies. These are the most important in terms of volume and potential.

Litecoin

Litecoin is one of the first altcoins with its own name. It emerged in 2011 with a limit of 84 million coins.

Its creator was former Google engineer Charles Lee, who was looking to improve Bitcoin and did so in terms of block generation time for large transactions. To do this, it uses a different mining algorithm that is not available to a computer.